Enterprise Bill [Lords] Debate

Full Debate: Read Full Debate
Department: HM Treasury
Wednesday 9th March 2016

(8 years, 1 month ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

Order. First, may I appeal for as orderly an atmosphere as possible? The Chair seeks to facilitate as many contributors as possible. Secondly, Members are of course free to say what they like, but I would gently point out that no amendment or new clause on the subject of pilots is to be taken today. There is material before the House, but that subject is not among it.

Angela Eagle Portrait Ms Angela Eagle (Wallasey) (Lab)
- Hansard - -

On a point of order, Mr Speaker. Will you confirm again that the manuscript amendment that the Government attempted to sneak on to the amendment paper at the last minute today, which would have covered the compromise on which the hon. Member for Berwick-upon-Tweed (Mrs Trevelyan) seems to have done a deal, is in fact not on the amendment paper and not before the House?

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

It was not selected. For the benefit of people attending to our proceedings, I shall be explicit. It is for the Speaker to select or not to select, and I did not select that late-submitted manuscript proposal. I need add nothing.

--- Later in debate ---
Angela Eagle Portrait Ms Angela Eagle
- Hansard - -

On a point of order, Mr Speaker. The House has spoken on the very contentious issue of Sunday trading, which would have affected millions of workers. Can we now hear from the Government that they will respect the will of this House and abandon their tawdry attempts to reintroduce this proposal? And I mean the Chancellor.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

The hon. Lady has made her point, but it is not a matter for the Chair.

The Speaker then put forthwith the Questions necessary for the disposal of the business to be concluded at that time (Standing Order No. 83E).

Schedule 5

Sunday opening hours: rights of shop workers

Amendments made: 13, page 91, line 25, at end insert—

“7A In section 48 (complaints to employment tribunals), after subsection (1) insert—

“(1YA) A shop worker may present a complaint to an employment tribunal that he or she has been subjected to a detriment in contravention of section 45ZA.””

This amendment is consequential on new section 45ZA of the Employment Rights Act 1996 (inserted by paragraph 7 of Schedule 5 to the Bill) and ensures that a shop worker can present a complaint to an employment tribunal in connection with a detriment suffered in contravention of that section.

Amendment 14, page 91, line 46, at end insert—

“8A In section 108 (qualifying period of employment), in subsection (3) after paragraph (d) insert—

“(da) subsection (2) of section 101ZA applies (read with subsection (3) of that section) or subsection (4) of that section applies,””.—(Brandon Lewis.)

This amendment is consequential on new section 101ZA of the Employment Rights Act 1996 (inserted by paragraph 8 of Schedule 5 to the Bill) and ensures that the two year qualifying period of employment for unfair dismissal cases will not apply in relation to cases involving a refusal to work additional hours on Sunday or the giving of an objection notice to working such hours.

--- Later in debate ---
Sajid Javid Portrait Sajid Javid
- Hansard - - - Excerpts

I shall give way in a moment.

This shows that we were absolutely right when we warned during the election that if a weak Labour Government ever got into office, they would be propped up by an unprincipled SNP. That is why we must never let either of those parties get closer to power.

Angela Eagle Portrait Ms Angela Eagle
- Hansard - -

I think the right hon. Gentleman should learn a bit of grace in defeat, because that is what the House likes. Will he confirm that these proposals did not fall under the EVEL or the WEVEL parts of our procedures, and will he also confirm that, having listened to the will of the House, this Government have no intention of bringing these Sunday trading proposals back before us?

Sajid Javid Portrait Sajid Javid
- Hansard - - - Excerpts

Of course we always listen to the will of this House, but that does not take away from the fact that the majority of English and Welsh MPs wanted to see this change—this flexibility on Sunday trading that would have been a right for local authorities in England and Wales to enjoy in the same way as it is enjoyed in Scotland. It was denied because of the SNP.

--- Later in debate ---
Angela Eagle Portrait Ms Angela Eagle
- Hansard - -

The Bill should have been so much more ambitious to live up to its encouraging short title, but despite the sterling efforts of Opposition Members in this House, and those of our Labour colleagues in the House of Lords, it remains a mouse of a Bill which should have been a lion. As I observed on Second Reading, this piece of legislation does not even match the ambition of the Government’s own rhetoric, let alone meet the huge economic challenges now facing this country. Its timidity is a great disappointment to those of us on the Opposition Benches.

Nevertheless, I would like to pay warm tribute to my right hon. and hon. Friends who served with such distinction in Committee. I would also like once more to pay tribute to the work of our Labour colleagues in the Lords who were able to secure some amendments to this very modest Bill, which undoubtedly improved it. May I also take this opportunity to acknowledge the contribution of all Members who served on the Bill Committee, whichever party they come from, as well as that of the all-important Whips, who ensure that the Committee stage works appropriately?

I welcome the Business Secretary to his place for the first time since it became clear that he has joined the campaign for Britain to stay in the European Union. I do not know whether he has been bullied by the Chancellor. However, he seemed anxious to burnish his Eurosceptic credentials even as he abandoned his Brexit friends in pronouncing recently that he would remain a “Brussels basher” despite his Brexit betrayal. His enthusiasm for the cause will be a great asset to all of us who believe passionately that we need to remain engaged and optimistic about our place in the world, and who are clear that we should not be disengaging from the largest free trade area in the world, where we do 50% of our business.

The Bill was just beginning its Report stage in the Lords when the Chancellor unveiled his comprehensive spending review on 25 November last year. We all remember the smirking optimism he displayed at that Dispatch Box as he unveiled the £27 billion windfall that the Office for Budget Responsibility had discovered to assist him in making his sums add up. But much has changed since then, and the Bill addresses little of that. Just six weeks later, the Chancellor turned up in Cardiff warning ominously that the economy was suddenly facing a “cocktail of threats” in the new year that he had not noticed in November. Then he turned up in Shanghai warning about gathering “storm clouds” and announcing that the British economy was £18 billion smaller than he had expected it to be because of slowing growth and falling tax receipts. He is now in full retreat, adding a £7 billion volte face on his widely trailed radical pensions reform to his retreat on huge tax credit cuts late last year.

This is not a great reforming Chancellor. What we actually see in No. 11 Downing Street is a man who is much more focused on his own leadership ambitions than he is on next week’s Budget or on the best interests of our country. We see a man who is much more interested in duffing up the Mayor of London and the Brexit rebels in his own party than he is in solving the huge challenges facing our economy. If this Bill is meant to be part of the solution to those challenges, I am afraid he has got his diagnosis completely wrong. Where is the “march of the makers” that the Chancellor was waxing so lyrical about six years ago? It has completely failed to materialise, and there is no sign of the rebalancing he promised us. In fact, manufacturing is faltering, the service sector is stuttering and the trade balance continues to worsen; it is now standing at over 5% of gross domestic product.

Of course we on Labour Benches will support the creation of the small business commissioner as it appears in the Bill. However, we worry about its tiny budget and the fact that its very limited remit will not be transformative. We argued successfully in the Lords to give the post some independence, but everyone in the House knows how modest this proposal is. We would much rather have been legislating for comprehensive reform by introducing a small business administration, instead of expending legislative effort on this minor tinkering.

Of course we support moves to establish a quality benchmark for apprenticeships and statutory protection for the term itself, which should help to protect it from being discredited or abused. But with one in three vacancies in the economy reported to be the result of skills shortages, the provisions of the Bill barely scratch the surface of what is needed, and the “skills emergency” that is holding back our country goes on. Time will tell whether the Government’s target of reaching 3 million apprentices will be achieved at the cost of falling quality. I certainly hope that it will not be, but we intend to hold the Government to account on this as their plans develop. We will also continue to keep a close eye on the plans to introduce an apprenticeship levy, which is causing increasing worry in businesses up and down the country. The Government must ensure that our young people can build sustainable and fulfilling careers and that all apprenticeships offer genuine learning opportunities and pathways for progression.

We are extremely disappointed that the Government have used the Bill to flog off the Green Investment Bank before it had been given a proper chance to develop. We are especially concerned that the bank’s core purpose to promote the vital green transformation of the economy will be lost or diluted by this unnecessary privatisation. Our concern is that, by rushing to sell, the Government will not get a decent price for the asset that has been created.

On exit payments, we remain concerned that the Bill goes far beyond capping the most excessive pay-outs and will hit some low-paid, long-serving workers in a completely arbitrary fashion. The provisions breach agreements that the Government made with some sectors of their own workforce only recently.

The way that this Government have chosen to deal with the important issue of Sunday trading has been cynical and disreputable. During the Bill’s passage through the House of Lords, it contained no mention whatsoever of Sunday trading, let alone the Government’s intention to deregulate it by starting a free-for-all in every local authority. There were rumours but no signs of any measures. It was therefore tawdry of the Secretary of State to make an announcement during his speech on Second Reading confirming that the Government did in fact intend to change Sunday trading laws. The House was then put in the ludicrous position of having to debate measures on Second Reading that had not even been published and were not seen until the Committee stage.

The Government have descended further still today. We saw a grubby and desperate last-ditch attempt to avoid a vote on amendment 1, when they tried and failed to put down a late manuscript amendment. When it was rejected, the Minister was reduced to pleading with his own side to support a pilot scheme that was not even on the amendment paper. That is no way for any serious Government to behave when passing laws that will affect millions of retail workers and change the nature of our country. I am happy that they have not been rewarded and hope that the measures will now be abandoned. The current Sunday trading laws work well and strike a sensible balance between the needs of those who want to shop and those who work in retail.

This Bill is a missed opportunity. It is a modest Bill that fails to tackle the real challenges facing the economy. It could have aimed to be transformative. It did not. It could have aimed to tackle the skills emergency and the productivity puzzle. It did not. It could have set out an ambitious industrial strategy to help us to rebalance the economy and to tackle the gaping trade deficit. It did not. It could have prepared us for the challenges of big data and digital transformation, which offer great opportunities as well as threats, but it missed that chance. It is a modest Bill with much to be modest about.